SAN JOSE, Calif. - Specialty foundry vendor TowerJazz has signed an amendment to its existing lease, confirming its right to retain the building that houses its semiconductor manufacturing facility in Newport Beach through March 2027.
This amendment was signed with TowerJazz’s new landlord, Uptown Newport LP, a joint venture consisting of a fund controlled by New York-based DRA Advisors LLC and an affiliate of The Shopoff Group, a real estate investment firm based in Irvine, Calif.
Tower and Jazz merged in 2008 in a stock-for-stock transaction. The merged company is called TowerJazz. Tower Semiconductor was founded as a National Semiconductor spinoff and it became a public company in 1994. Jazz Semiconductor was formed in 2002 as a spinoff of Conexant Systems.
Conexant Systems Inc. recently announced that it has signed an agreement with Uptown Newport to sell property adjacent to its Newport Beach headquarters for $23.5 million. Under the terms of the agreement, Conexant will retain an equity investment in the land in the form of a limited partnership interest of up to $2.2 million. The transaction is subject to customary closing conditions, and expected to be completed by the end of December.
“We would like to assure our investors, customers and employees that we will conduct our Newport Beach operations as usual. There will be no impact to our business due to the property sale by Conexant as we have secured the lease extension until the year of 2027,” said Rafi Mor, senior vice president and general manager of Newport Beach for TowerJazz, in a statement.